THE COOK ISLANDS TE KAVEINGA NUI NATIONAL SUSTAINABLE DEVELOPMENT PLAN 2011-2015
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MESSAGE FROM THE PRIME MINISTER As we undertake the next leg of our Te Kaveinga Nui journey, it is fitting that the National Sustainable Development Plan (NSDP) 2011-2015 is the result of widespread consultations with stakeholders right across the Cook Islands, as it embodies the kinds of positive conversations that we must have if we are to express our concerns one to another, define our common goals and identify pathways toward achieving them. NSDP 2011-2015 builds upon the gains made in NSDP 2007-2010 and the sacrifices of past generations. To take our development to the next level, the eight overarching national goals speak to a vibrant Cook Islands economy, supported by good infrastructure development and energy security; where our people have the opportunities to fulfil their potential; are resilient to the disasters and climate change impacts; live in a healthy environment; and where our progress is underpinned by the principles of good governance and law and order. Our success in achieving our national goals will hinge on sustaining and strengthening the public-private-community partnerships and dialogue that have been critical in the formulation which has allowed the NSDP 2011-2015 to be a truly national output. This planning process has bridged all sectors in our society, including Government ministries and agencies, private sector, civil society, academia, civil society and our wider community to harness and incorporate the range of technical expertise, experiences and skills. To all who will be directly involved in the day to day implementation of NSDP 2011-2015, I challenge us to be more efficient and effective in serving with devotion and integrity and to improve our collective capacity to deliver. To our private sector, non-government, civil society organisations and our regional and international partners, I appeal for your continued support during this implementation phase. There is much work to be done. The Government cannot do this alone; the support of the entire country is needed. This partnership approach is the essence of NSDP 2011-2015. I am determined to lead the implementation process to build a country where our people enjoy the highest quality of life consistent with the aspirations of our people, and in harmony with our culture and environment as articulated by our National Vision. Hon. Henry Puna Prime Minister 3
ACKNOWLEDGEMENTS The National Sustainable Development Plan (NSDP) 2011-2015, as the second leg in our Te Kaveinga Nui journey, was prepared with the invaluable contribution, dedication and commitment of the Cook Islands people towards the achievement of our National Vision – ‘To enjoy the highest quality of life consistent with the aspirations of our people, and in harmony with our culture and environment’. Specifically, the Central Policy and Planning Office (CPPO) of the Office of the Prime Minister thanks all those who contributed their resources, time and intellect to initiate, prepare and finalise the Plan, including the Government of the Cook Islands and the Opposition which mandated the process; the Ministries and Agencies; the many stakeholders including students, academia, the private sector, non-government organisations, civil society, and the people in our communities who assisted in crafting and providing the scope and direction for the NSDP 2011-2015. The CPPO pays special tribute to the late Dorice Reid, Te Tika Mataiapo and the Koutu Nui who have been valuable partners in reviewing NSDP 2007-2010 and engaging with our communities across our islands to determine our national development priorities for 2011- 2015. Special ata wai wolo is also extended to the Chairpersons and members of the various Task Forces (including the Economic Development Task Force) drawn from the public and private sectors and civil society who generously gave their time, technical and creative ideas, and worked diligently in identifying our development directions for this NSDP. Na te Atua tatou e arataki ma te tauturu i te akatupuanga i tatou i moemoea. Meitaki Maata, Ata wai wolo e ye maneke 4
TE KAVEINGA NUI In 2007 the Cook Islands launched our country’s 2020 visionary framework - Te Kaveinga Nui, articulating the National Vision and Development Outcomes desired by the Cook Islands which would be realised through a three phase medium term planning approach. Te Kaveinga Nui NSDP NSDP NSDP Outcomes NationalVision 2020 2007-2010 2011-2015 2016-2020 2020 Te Kaveinga Nui was accompanied by the first National Sustainable Development Plan (NSDP) 2007-2010, a strategy on how to progress towards the 2020 outcomes during the first phase, then to be followed by NSDP 2011-2015 and finally 2015-2020. The purpose of the NSDP is to set national goals, the expected results and effective strategies to guide policy decisions over the medium term in order to realise the 2020 Development Outcomes that aim to deliver on Te Kaveinga Nui National Vision. The National Vision and 2020 Development Outcomes demonstrate an approach that brings together social, economic and environmental priorities underpinned by good governance, culture and effective partnerships. 5
OUR VISION, OUTCOMES AND GOALS NATIONAL VISION “To enjoy the highest quality of life consistent with the aspirations of our people in harmony with our culture and environment” “Te oraanga tu rangatira kia tau ki te anoano o te iti tangata, e kia tau ki ta tatou peu Maori e te aotini taporoporoia o te basileia” 6
NSDP 2011 – 2015 INTRODUCTION The NSDP 2011-2015 is the second planning phase in our journey of Te Kaveinga Nui towards the achievement of desired 2020 development outcomes and our National Vision - ‘to enjoy the highest quality of life consistent with the aspirations of our people, and in harmony with our culture and environment’. For us to be successful in realizing our National Vision, we must all become excited about the challenges and opportunities to lift our development to a higher level in 2011-2015. We must focus on positive action through our shared vision that is realistic and relevant to us as individuals, families and as a society. The NSDP 2011-2015 integrates the thoughts, ideas, hopes and dreams of a broad cross- section of our society, both in Rarotonga and the Pa Enua. It is the culmination of many community based consultations, brain storming and focus group sessions, perusing past reports, and numerous public, private and community sector meetings to review our progress on NSDP 2007-2010 and formulate this NSDP. In outlining how we will achieve our National Vision and 2020 development outcomes, NSDP 2011-2015: Identifies our medium term goals and objectives; Presents national and sector strategies for achieving these goals and objectives; Proposes outcome indicators to measure performance over the medium term; Identifies actions for the medium term; and Presents a framework for its implementation, monitoring and evaluation. To ensure implementation of the NSDP, the strategies and actions identified will be filtered through medium term sector and specific agency plans. It is at the sectoral and agency levels that the NSDP will be costed. As a living document, the NSDP will undergo constant monitoring and alteration as deemed appropriate to reflect any changes to the implementation environment. To be successful the NSDP must deliver right across the Cook Islands. Whilst the goals, objectives and strategies of the NSDP apply across the Cook Islands, there is recognition that they must also be brought together at the local level, in the Pa Enua. Therefore, as part of our Te Kaveinga Nui planning process, we will do further work with our communities in the Pa Enua to identify the major challenges in their area and the actions that would make a real difference in the lives of our local communities. This will ensure that where initiatives are rolled out under the NSDP, our Pa Enua will receive its equitable share of development. CONTEXT FOR NSDP 2011-2015 7
The Cook Islands consists of 15 small islands scattered over 2 million square kilometres of the Pacific Ocean. They lie in the centre of the Polynesian Triangle, flanked by Fiji 2,300 km to the west, Tahiti 1,140 km to the east, Hawaii 4,730 km north and New Zealand 3,010 km southwest. The climate of the Cook Islands is sub-tropical and tropical oceanic moderated by trade winds. Our islands became a British protectorate in 1888. By 1900 administrative control was transferred to New Zealand. In 1965 Cook Islanders chose self-government, in free association with New Zealand. About 70% of the population of approximately 20,000 are domiciled on the largest of the Cook Islands, Rarotonga. Rarotonga is the capital and main commercial and government centre, and hence the country’s dominant driver of economic growth. Around 20% of the population lives in the eight islands of the Southern Group. Five are elevated fertile volcanic islands, while the rest are atolls, except Mitiaro, which is raised coral. These Pa Enua are within 300 km of Rarotonga. The remote Northern Group of Pa Enua, more than 1,250 km from the capital, is made up of seven low lying, sparsely populated, coral atolls and sand cays, with little arable land. A commonly held view is that the size of the populace of Cook Islanders living in the Diaspora is approximately four times the resident population. Continuing depopulation is a significant threat to the development of the Cook Islands by Cook Islanders. SOCIO-ECONOMIC DEVELOPMENT – A SNAPSHOT ECONOMIC INDICATORS Economic Activity 2009 -10 2010-11 2011-12 Act/Est Est Proj Nominal GDP ($’000) 345,380 356,960 377,540 % Change 4.2% 3.4% 5.8% Real GDP (at constant 2006 Prices, $’000) 285,310 293,450 303,040 % Change 4.1% 2.9% 3.3% GDP per capita 15,282 15,795 16,705 Inflation Consumer Price Index (base Dec 2006=100) 117.7 118.3 121.3 % Change 1.8% 0.5% 2.5% Construction/Capital Investment Commercial Building Approvals ($’000) 3,300 2,700 2,900 Residential Building Approvals ($’000) 8,500 9,600 10,600 Productive Sector Indicators Visitor Arrivals 99,400 106,000 111,500 % Change 2.6% 6.6% 5.2% Estimated Visitor Expenditures ($’000) 209,900 225,100 241,500 Total Exports ($’000) 5,827 5,746 5,717 Total Imports ($’000) 349,936 361,674 382,526 SOCIAL INDICATORS (2006 CENSUS) Total Males Females Total Population 19,342 9,816 9,526 Resident Population 15,324 7,822 7,502 Urban Population (Rarotonga) 13,890 7,030 6,860 Mortality Life expectancy 72.8 69.5 76.2 Labour Force 8
Employed Population 44.3% 47.8% 40.7% Unemployed 4.3% 4.4% 4.2% Non-labour force Students 820 423 397 Retired 923 499 424 Home duties 1,417 358 1,059 Labour force participation rate 70.2 76.1 64.2 Employment-population ratio 63.1 68.7 57.5 Unemployment rate (%) 6.9% 6.7% 7.3% Education School enrolment rates of 5-15 years 97.4% 96.4% 98.5% Proportion of population aged 15+: Trade and business certificate 10.9 3.8 Professional and higher certificate 0.4 0.9 Teachers and members of professional 0.6 1.8 societies Tertiary qualifications 12.6 16 Our implementation of NSDP 2007-2010 has in general resulted in good progress towards our socio-economic development. Our economy contracted in the 2008/2009 and the 2009/2010 fiscal years. This downward movement reflects the effects of the global financial crisis. There is a slight recovery for the 2010/2011 fiscal year and further improvement projected for 2011/12. Tourism remains the key economic driver of the economy. Direct receipts account for 50% of GDP but indirectly, tourism is driving the demand and activity of over 90% of the economy. The country’s primary dependence on tourism makes it extremely vulnerable to external shocks. For example, the 9/11 terrorist attacks in 2001 fundamentally altered the demographic of the tourism market, with the contraction of the North American tourist market leading to the reduction of flights to and from the US and Canada. This increased the country’s reliance on the New Zealand market, thereby resulting in lower yields across the industry. The cost of business is considered to be high due to numerous factors. The country’s small size and isolation mean the majority of inputs for production are imported. The high cost of finance is also seen as a major challenge to business investment and development (ANZ commercial base lending rate in the Cook Islands as at June 2011 was 9.95% vs. ANZ in New Zealand 6.24%). Another impediment to economic growth is the limited labour force in the country. The accessibility of New Zealand and Australia by way of the Cook Islands relationship with New Zealand has meant that there has, and continues to be, considerable outward migration. The last decade has seen an influx of foreign labour from Fiji, Tonga and the Philippines working predominantly in the lower paying jobs. The need for business to import labour to supplant the outward migrating local labour force has added to the cost of business in the Cook Islands. 9
Well over 90% of the country’s economic activity is generated on the main island of Rarotonga, with Aitutaki - the second most populous island, making the only other significant contribution to GDP. The Cook Islands has succeeded in raising the overall standard of living as measured by some of its key social indicators, and is on track to achieve the Millennium Development Goals (MDGs) by 2015. Life expectancy, which was 72.8 years in 2006, is comparable to that of developed countries. Enrolment in primary and secondary schools are near universal. Pass rates in literacy and numeracy in our primary schools have improved with the majority of our children working at or above the appropriate level for their chronological age. At college level, the pass rate target of 50% for National Certificate of Education Achievement has been surpassed. Furthermore, scope of subjects and teaching modalities have improved to cater for the different needs of learners. The challenge to provide quality and equitable education opportunities for our Pa Enua learners, comparable to their Rarotonga peers, continues due to declining Pa Enua school roles. This is one of our key challenges in NSDP 2011-2015. There have been improvements in our health indicators particularly those relating to maternal, infant and under 5 years mortality rates. Yet there are serious concerns over the increased prevalence of lifestyle related non-communicable diseases and obesity. WHERE ARE WE NOW The first leg of NSDP 2007-2010 has laid the foundations for our Te Kaveinga Nui journey. We have made some good progress but many challenges remain. This NSDP 2011-2015 will take our development to a new level of sustainability. We continue to face the challenge of diversifying our economy by building productivity in all our sectors; further empowering our people to achieve their full potential; ensuring that our infrastructure matches our aspirations for economic and social development; improving governance; strengthening law and order; building our people’s resilience to the threats of disaster and climate change, and ensuring that our environment remains healthy for our future generations. THE COOK ISLANDS: A SWOT ANALYSIS A summary of the context for our path to achieve our vision, based on our country’s strengths, weaknesses, opportunities and threats, is presented below. STRENGTHS WEAKNESSES Talented people Geographical isolation Unique cultural assets Dispersed islands National pride Narrow economic base Political stability Unreliable, irregular and high cost High life expectancy transportation Unique environment and natural Reliance on imported goods resources High dependence on imported High educational achievement petroleum Relatively good health outcomes High energy costs Private sector led economy Vulnerability to natural and man-made Peaceful society hazards 10
Relatively high standard of living Low productivity across most economic Good regional and international sectors (except tourism) relationships Increase dependence on foreign workers Vibrant civil society to meet the country’s labour needs OPPORTUNITIES THREATS Expand the economic base by growing Depopulation – brain drain of trained other economic sectors and educated Cook Islanders Potential for import substitution Impact of fluctuations in global economy Growth in economic value of global and capital, currency and commodity cultural industries and markets markets Global advances in science, technology Instability and unpredictability in the and innovation supply and price of imported petroleum Development of the Green Economy Vulnerability to the impacts of climate Large Diaspora (our population living change abroad and their potential to contribute Increased likelihood of natural hazards to national development) Inadequate political will or social Strong relationships with regional and partnerships to implement international partners transformation Disparity between Rarotonga and the Pa Enua NSDP 2011-2015 will look to utilise our strengths and opportunities whilst using innovation to overcome weaknesses and threats. We expect that taking a sustainable development approach on these issues will lead to more integrated and holistic outcomes. This in turn, should result in a quantum leap in the type of solutions we develop and undertake. GUIDING PRINCIPLES Our development during 2011-2015 is based on seven guiding principles which put our people at the centre of the Cook Islands development. These are leadership, partnership, transparency and accountability, social cohesion, equity, sustainability and national development. They give priority attention to elements that are essential to providing the quality of life for our people, and reflect the key pillars needed to realise our national vision. Leadership Leading the country to achieve its National Vision requires strong and decisive leadership at all levels of society. Champions of change and accountability within the various institutions of Government, in partnership with the private sector and civil society, must lead in achieving desired results. Ownership of the National Vision and the development planning process must reverberate at every level of Cook Islands society. We must all have a sense of the role that we are expected to play and take seriously our responsibility for the successful implementation of NSDP 2011-2015. 11
Partnership The opportunities envisaged under our National Vision require the promotion of our country’s common good over vested interests and significant technical and financial resources, both of which are beyond the scope of our Government alone. We need to bridge the resource gap and remove obstacles that could undermine the success of NSDP 2011-2015. Our success requires the conscious collaboration of our Government, traditional leaders, the private sector and members of the community, in pooling the use of their expertise and resources in public private partnerships in pursuit of the goals of NSDP 2011-2015, supported where appropriate through cooperation between the Cook Islands and regional and international partners. Opportunities for such partnerships will include the input of the voluntary sector and faith based organisations in facilitating change in mindset and reinforcing the positive core values of our society; private sector capital investments in social and economic infrastructure; and our peoples’ monitoring to ensure accountability and value-for-money is realised from public investments. Achieving our goals for NSDP 2011-2015 calls for every Cook Islander to participate in both the responsibilities and benefits of national development and this hinges on partnership as both being a fundamental value and adopted as a strategy. Transparency and Accountability NSDP 2011-2015 recognises that transparency and accountability are essential for the efficient functioning of our economy and for fostering social wellbeing. As we embark on implementation, we must ensure timely access to information that can be used to measure performance and hold Government accountable for its actions. Social Cohesion This guiding principle will engender a sense of belonging and pride in our people and generate the trust required to take us through both the good and challenging times as we journey towards a sustainable future. It will ensure that our people unite around a set of shared values and responsibilities and a common sense of nationhood. Equity This guiding principle will facilitate and ensure equality of opportunity and equal rights for all our people including access to public goods and services such as education and health care. NSDP 2011-2015 will promote the human rights of our people, including the most vulnerable and marginalised groups. It will identify and address gender and other biases in our society. Sustainability A sustainable future for our nation requires us to effectively integrate economic, social and environmental issues in order to make the wisest use of our capital stocks to meet the needs of current and future generations. We recognise that economic, social and environmental problems and solutions are inter-connected and that an integrated approach 12
to address these issues, underpinned by good governance and fundamental cultural values to address these issues will ensure that our development is sustainable. National Development This principle will encourage us to promote development on a truly national scale, one that encompasses both Rarotonga and our Pa Enua. It will allow for the inclusion of our Pa Enua in decision making, optimal use of resources in all areas, and facilitate the development of multi-sectoral and spatial linkages. CHANGING THE MINDSET At the heart of our National Vision and NSDP 2011-2015 is the transformation of our society to turn our National Vision into action. This transformation will only take place if there is a change in the mindset of the nation which addresses those traits that are likely to inhibit progress towards development. This change is vital if we are to capitalise opportunity in our size, our geographical makeup, our distance from markets and overcome our economies of scale. We must harness our Cook Islands spirit and the respect for and prominence that we give to our positive societal values and attitudes and to our Christian beliefs. Core values include respect, honesty, truthfulness, forgiveness and tolerance. Attitudinal values such as trust, honour, discipline, responsibility, cooperation, integrity, good work ethic and punctuality are essential for transforming our society into a prosperous one. Our economy must be recast though the adoption and infusion of transformative values. As a nation, we must choose to achieve sustainable prosperity to ensure a more promising future and the realisation of our NSDP 2011-2015 National Goals as well as our long term National Vision. 13
NATIONAL GOALS 2011-2015 NSDP 2011-2015 is built on eight national goals for our country’s development. The key underlying purpose of NSDP 2011-2015 is to turn our National Vision into Action. These goals are mutually reinforcing and synergistic in design, and their achievement cannot be realised in isolation from each other. Our selection of goals, objectives and the design of strategies and actions to realise these goals, collectively represent our approach to development planning informed by our public and the review of the NSDP 2007-2010. This approach is relatively broad in scope, participatory in design and intended implementation - though medium term - will be long term in reach and transformational in nature. The NSDP thus provides a comprehensive framework within which the linkages amongst the pillars of sustainable development are made, and presents a broad strategic thrust for Te Kaveinga Nui journey towards sustainable development for the Cook Islands. Our eight National Goals give greater articulation to our National Vision “to enjoy the highest quality of life consistent with the aspirations of our people, and in harmony with our culture and environment” and are pillars on which our focus for 2011-2015 for sustainable development rests. PRIORITY AREA 1: ECONOMIC DEVELOPMENT GOAL 1: A VIBRANT COOK ISLANDS ECONOMY ‘A COOK ISLANDS WHERE INGENUITY AND CONNECTION TO OUR CULTURE AND ENVIRONMENT UNDERPINS THE ABILITY OF OUR PEOPLE TO BUILD BUSINESS AND ENTERPRISE TO CONTRIBUTE TO NATIONAL ECONOMIC GROWTH’ PRIORITY AREA 2: INFRASTRUCTURE GOAL 2: INFRASTRUCTURE FOR ECONOMIC GROWTH AND SUSTAINABLE LIVELIHOODS ‘OUR INVESTMENT IN INFRASTRUCTURE WILL MAXIMISE ECONOMIC RETURN, IMPROVE LIVELIHOODS AND BUILD RESILIENCE’ PRIORITY AREA 3: ENERGY GOAL 3: ENERGY SECURITY ‘RENEWABLE ENERGY FOR ENERGY SECURITY TO ENHANCE OUR ECONOMIC AND SOCIAL DEVELOPMENT AND ENVIRONMENTAL INTEGRITY’ PRIORITY AREA 4: SOCIAL DEVELOPMENT GOAL 4: OPPORTUNITY FOR ALL PEOPLE WHO RESIDE IN THE COOK ISLANDS 14
‘A COOK ISLANDS WHERE ALL PEOPLE WHO RESIDE IN OUR ISLANDS CAN ENJOY OPPORTUNITIES TO FULFIL THEIR POTENTIAL, PROSPER AND PARTICIPATE IN THE SOCIAL, ECONOMIC, POLITICAL AND CULTURAL LIFE OF OUR COMMUNITIES AND NATION’ PRIORITY AREA 5: RESILIENCE GOAL 5: RESILIENT AND SUSTAINBLE COMMUNITIES ‘A COOK ISLANDS WHERE OUR PEOPLE ARE RESILIENT TO DISASTERS AND CLIMATE CHANGE TO ACHIEVE SUSTAINABLE LIVELIHOODS’ PRIORITY AREA 6: ECOLOGICAL SUSTAINABILITY GOAL 6: ENVIRONMENT FOR LIVING ‘A COOK ISLANDS WHERE WE SUSTAIN OUR ECOSYSTEMS AND USE OUR NATURAL RESOURCES EFFICIENTLY’ PRIORITY AREA 7: GOVERNANCE GOAL 7: GOOD GOVERNANCE ‘A COOK ISLANDS THAT THRIVES ON GOOD GOVERNANCE PRINCIPLES’ PRIORITY AREA 8: LAW AND ORDER GOAL 8: A SAFE, SECURE, JUST AND STABLE SOCIETY ‘A COOK ISLANDS WHERE THE RULE OF LAW ENSURES SAFE, SECURE, JUST, STABLE AND SUSTAINABLE COMMUNITIES’ WHAT ARE WE GOING TO DO IN 2011-2015? A vibrant Cook Islands Economy Infrastructure for Economic Growth, ‘A Cook Islands where ingenuity and connection to Sustainable Livelihoods and Resilience our culture and environment underpins the ability of ‘Our investment in infrastructure will maximise our people to build business and enterprise for economic return, improve our peoples livelihoods national economic growth’ and build resilience’ Objective 1: An energised and growing green Objective 1: Our investment in infrastructure will economy through supporting our key economic foster economic growth, sustainable environment drivers and encouraging environmentally sound and livelihoods and increase the resilience of our innovation in potential areas of growth communities to disasters and the impacts of climate Objective 2: Enterprise is enabled by establishing an change innovative environment conducive for existing Objective 2: Our delivery and ongoing management businesses to confidently grow and for new of infrastructure will be improved significantly businesses to start, grow and thrive in our communities Objective 3: Our Cook Islands environmental and cultural values are integral to business decision making and practice National Strategies: National Strategies Ensure our tourism excellence Improve access to water for our communities Unlock our potential from our marine resources Improve our facilities for waste management Unlock our potential from our agricultural Improve our transport infrastructure production Improve telecommunications 15
Identify and exploit trade opportunities Strengthen our asset management Build our financial services Enable robust construction Ensure that our cultural and creative Industries Build capacity in the infrastructure sector are a key force in job and wealth creation and nation building Sustain macro-economic stability Ensure proactive economic development policies Energy Security Resilient and Sustainable Communities ‘Renewable energy for energy security to enhance ‘A Cook Islands where our people are resilient to our economic growth, social development and disasters and climate change to achieve sustainable environmental integrity’ livelihoods’ Objective 1: Secure and reliable energy services Objective 1: Our people are prepared for disasters Objective 2: Enhanced efficiency and improved and climate change impacts affordability of energy Objective 2: The impacts of disasters and climate Objective 3: Investment for renewable energy change are reduced development fostered Objective 3: Our people are resilient to all forms of Objective 4: Energy standards and compliance will be hazards upheld by a well-regulated energy sector National Strategies National Strategies Strengthen the institutional framework of the Ensure strong governance arrangements for energy sector disaster risk management and climate change Utilise only proven renewable energy adaptation technologies Ensure that high quality risk information is Provide incentives for renewable energy available to inform planning and Upgrade existing energy infrastructure implementation Promote energy efficiency and conservation Enhance effective preparedness, response and Build our capacity in the energy sector recovery Build resilience through effective disaster risk reduction and climate change adaptation Opportunity for all People who Reside in Environment for Living the Cook Islands ‘A Cook Islands where we sustain our ecosystem ‘A Cook Islands where all people who reside in our and use our natural resources efficiently’ islands can enjoy opportunities to fulfil their potential, prosper and participate in the social, economic, political and cultural life of our communities and nation’ Objective 1: Our people fulfil their potential through Objective 1: The use of all our natural resources are equitable access to quality learning opportunities managed well to ensure their sustainability across the full spectrum of human endeavour Objective 2: Our scarce and degraded natural Objective 2: Our people fulfil their potential through resources are effectively monitored and restored access to quality and affordable health care Objective 3: The pollution of air, water, and land Objective 3: Our people fulfil their potential because resources is managed so that impacts are minimised they are empowered and have strong families and and community and ecosystem health is not communities adversely affected Objective 4: Our people fulfil their potential because Objective 4: Irreversible loss and degradation of they participate in leisure, recreation and competitive biodiversity (marine, terrestrial, aquatic ecosystems) sports activities is avoided 16
Objective 5: Cook Islanders share a strong national Objective 5: Our actions to protect and manage our identity and sense of belonging ecosystems and natural resources will include climate change adaptation and emissions reduction measures Objective 6: Taking care of our natural environment is everybody’s business where all stakeholders will actively play their part in protecting and managing our fragile ecosystems National Strategies National Strategies Ensure that parents and communities have Improve the management and quality of our confidence in our education system and support water resources through an integrated approach quality learning and development for the very Improve water quality through better sanitation young measures Ensure that every child is literate and numerate Implement waster minimisation programmes by the end of year 8 and that literacy and and provide appropriate facilities and incentives numeracy skills for continuing education are to support these with the purpose of achieving provided zero waste Enable every young person to have access to the Implement an ecosystem approach to the opportunity to develop knowledge and skills to management of marine resources gain qualifications that they need to contribute to Develop and implement interventions to ensure the development of the Cook Islands that land use is sustainable Ensure equitable access for all learners to quality Protect our biodiversity and ecosystems learning programmes Ensure that the Education Sector is responsive to the training needs of the wider community through collaboration and partnerships with other agencies Ensure optimum health for our children and young people Provide quality health services for all A multi-sectoral approach to combat non- communicable diseases (NCDs) Ensure gender equality and empower our women Guarantee that our children are safe and well- cared for; that our youth are given the opportunity to grow as valuable members of society; our persons with disabilities are valued and included in our development and our elderly are acknowledged for their contributions to society and are looked after Ensure we have strong families and communities Our people can access an adequate range of different opportunities for leisure, recreation and competitive sports Ensure the promotion and preservation of our unique culture, languages and social heritage Good Governance A Safe, Secure, Just and Stable Society ‘A Cook Islands that thrives on good governance ‘A Cook Islands where the rule of law ensures a principles’ safe, secure, just and stable society’ Objective 1: Our general public has confidence in the Objective1: Clear, coherent and relevant laws; fair, systems of government accessible and efficient courts and institutions for Objective 2: A machinery of government focused on the administration of justice 17
strategic direction, progressive partnerships and Objective2: Free access to our Cook Islands laws service satisfaction Objective 3: Quality policing services to our Objective 3: Increasing the value of existing taxpayer communities and visitors dollars through systems that deliver effective Objective 4: Control of our borders is efficient and development outcomes effective Objective 4: A general public that is continuously Objective 5: Quality enforcement of our laws informed of the return on investment for their taxpayer dollar and as a result actively contributes to development decision making and actions Objective 5: Regional and international relations to contribute effectively to Cook Islands sustainable development National Strategies National Strategies Strengthen the role of parliament to hold Ensure that our legislative and regulatory managers to account for performance frameworks reflect our sustainable Strengthen electoral systems and processes development goals and objectives Ensure that Government service delivery is Ensure quality enforcement of our laws efficient and effective Improve access to Justice Promote partnerships with civil society and the Improve our land management and land private sector information systems Strengthen information and data collection, Reduce reoffending through offender analysis and management for informed decision rehabilitation making Ensure that our communities and visitors are Ensure access to information safe, secure and stable through the provision of Improve accountability and transparency of quality policing public financial management Ensure our border security both with respect to Establish and strengthen external relations that the movement of goods and persons through will benefit the Cook Islands the introduction and operation of effective laws and systems 18
ACHIEVING OUR 2011-2015 NATIONAL GOALS PRIORITY AREA 1: ECONOMIC DEVELOPMENT A strong economy allows us to provide quality services such as healthcare, education, policing and infrastructure. However, prioritising economic development should not be at the cost of social and environmental processes. Implicit in the quality of growth that we are seeking will be the integration of economic, social, cultural and environmental pillars of sustainable development. Sustaining a high quality environment, as well as building our social and cultural base, is critical for our economic development. Our choice of economic policy instruments will be influenced by their interactions with social, environmental and cultural factors. Our economic growth will be ‘green growth’ centred on the protection, conservation, restoration and management of our environment. Our brand of green growth will have a distinctive Cook Islands mark that reflects our cultural values. BRAND COOK ISLANDS will be introduced to the world as the umbrella for all outward facing interaction on the global stage. The changing landscape of information technology also offers us endless opportunities to promote BRAND COOK ISLANDS its products and experiences. Our economic growth will be achieved through strong partnerships between private sector, government and our communities. OUR GOAL A VIBRANT COOK ISLANDS ECONOMY ‘A COOK ISLANDS WHERE INGENUITY AND CONNECTION TO OUR CULTURE AND ENVIRONMENT UNDERPIN THE ABILITY OF OUR PEOPLE TO BUILD BUSINESS AND ENTERPRISE FOR NATIONAL ECONOMIC GROWTH’ OUR KEY OBJECTIVES 1. An energised and growing green economy through supporting our key economic drivers and encouraging environmentally sound innovation in potential areas of growth. 2. Enterprise is enabled by establishing an innovative environment conducive for existing businesses to confidently grow and for new businesses to start, grow and thrive in our communities. 3. Our Cook Islands cultural and environmental values are integral to business decision making and practice. HOW WILL WE ACHIEVE OUR OBJECTIVES? To achieve our objectives we will embark on strategies that: 1. Ensure our Tourism Destination Excellence We will embark on strategies that ensure that the Cook Islands achieve its full potential as a leading sustainable tourism destination. Tourism is our primary economic driver 19
and will continue to be so for the long term. To ensure its continued success, it is necessary to focus not only on volume, but also yield and dispersal beyond Rarotonga to the Pa Enua. In recognition of this, Government has committed to underwrite key airline routes between Rarotonga, Los Angeles and Sydney and to allocate marketing funds to support the success of these routes over the next three years. We will continue to explore opportunities for further airline access between the Cook Islands and its markets while delivering a targeted strategy of market stimulation which ensures growth in market share, yield and dispersal to the Pa Enua. Our Destination Development Strategy will strongly underpin the green image that we seek. At the same time, our strategy will make tourism ‘everybody’s business’ by encouraging collaboration and inter-linkages aimed at integrated sustainable growth across all sectors. This will be evident in the development of an alternative port in Rarotonga for our cruise industry and in the long term upgrading our ports in the Pa Enua. Complimenting these efforts, will also be the upgrade of airports across the country. Small business growth will be targeted to showcase our fashion, arts, crafts, pearls, food and produce. We shall provide places where our people can showcase their creativity, innovation and entrepreneurism, while adding to the distinctive character of the Cook Islands. Integral to our Destination Development Strategy is the promotion of our cultural and sporting events, creative industries, and educational facilities and services. Green standards will underpin every element of business within the tourism industry and across the nation ensuring that this important economic sector delivers long term sustainable growth measured against the nation’s commitment to a green future. Central to this will be holding all tourism operators to these standards as part of the National Tourism Accreditation Programme. To achieve long term sustainability for the industry, it is necessary to plan for future growth ensuring that infrastructure and tourism development are integrated, and that any new developments are delivered against criteria that ensure cultural, environmental and community integrity in order to deliver an optimal Cook Islands tourism experience to both our visitors and our communities. The long term purpose is to grow our country’s economy through tourism without compromising our country’s unique qualities. 2. Unlock our Potential from our Marine Resources We have 2.2 million square kilometres of ocean and this offers great potential for economic growth in the short, medium and long term. However, any activities in our oceans must be conducted in a sustainable manner underpinned by the principles of precaution, conservation and effective management, and shared responsibility. 20
In the medium term there are seven key strategies to increase our economic return from our marine resources. Firstly, is to expand income earning opportunities from sustainably managed offshore fisheries through capacity building, infrastructure and market development. Secondly, is to achieve a profitable and sustainable pearl industry by improving productivity, marketing and environmental management. Thirdly, is to improve income generating opportunities for the private sector particularly in the Pa Enua, through increased provision of technical and scientific assistance. Fourth, is to ensure sustainable fishing and conservation practices resulting in traditional subsistence practices and long term food security. Fifth, we will strive to protect and conserve our natural marine biodiversity, its affiliated customary practices and knowledge. Sixth, explore potential sustainable commercialisation of marine resources, such as, marine eco-tourism and other innovative marine business enterprises. Lastly, to ensure that we wisely utilise our seabed mineral resources for economic development, maximise the long term benefits from money generated, while minimising the impacts to the environment caused by extraction. 3. Unlock our Potential from our Agricultural Production We were once an economy based on agriculture, yet currently we import far too much produce. We have the potential to reduce our imports of agricultural products. Therefore, first and foremost, we will revitalise our agriculture industry - particularly in the southern islands of the Pa Enua as not only an import substitution strategy, but also one that will assure food security in the face of climate change, economic earning opportunities and encourage the consumption of healthy food to ensure good health outcomes. In revitalising agriculture we will strive for better partnerships between government and our farmers, exporters, markets and our airline and shipping services. Our efforts in revitalising agriculture will be based on the principles of biological, organic production and best agricultural practices aligned to our desire for green growth. These efforts will be complemented by research, education and vocational training to ensure that production, marketing and trade facilitation are aligned to ‘green agriculture’ international standards. 4. Identify and Exploit Trade Opportunities With our open economy and longstanding approach to international trade and other economic relations, our attention will continue to be given to identifying and exploiting regional and international trade opportunities, including through the negotiation of agreements to promote our sustainable development objectives. This will include trade in both goods and services. In pursuing this strategic approach, there will continue to be regular consultations between government entities and other relevant stakeholders. 5. Build our Financial Services 21
In past years we were the leaders in international financial services in the Pacific but we have not kept pace with our competitors. This industry has the ability to make far more significant contributions to our economy with zero impact on our environment. To do this, we will firstly upgrade the legislative framework relating to financial services. This will create a new competitive advantage by improving existing services and creating new products and services. Secondly, we will enhance our marketing through targeted advertising to increase our threshold of exposure to raise the profile of the jurisdiction and create new client markets. Thirdly, we will increase our presence in the international marketplace to promote the industry, demonstrate our commitment, and eliminate any negative perceptions about the Cook Islands’ jurisdiction. 6. Ensure that Cultural and Creative Industries are a Key Force in Job and Wealth Creation and Nation Building The Cultural and Creative Industries (publishing, film, broadcasting, music, visual and performing arts, journalism, museums and art exhibitions, retail, architecture, design, advertising, software, etc) are committed to the creation of wealth through the application of ideas and individual creativity. Our people’s creativity is renowned and should be harnessed as powerful engines for economic growth and trade development – not only in terms of direct economic impact from the marketing and the sale of goods and services, but also as a multiplier in other sectors. The government is committed to creating the enabling environment for cultural and creative industries to start, thrive and grow including the endorsement of the necessary policy and legislative frameworks. In the medium term we will pursue efforts to develop a culture of creativity and enterprise through our education system; develop and strengthen partnerships; promote national and international recognition for our people’s creativity; increase exposure of our creativity and cultural strength including our Maori language; and improve research and development in cultural and creative products. 7. Sustain Macro-Economic Stability Sound fiscal management makes a major contribution to achieving economic growth by providing confidence to the business sector and potential investors. Government, since the mid 1990s, has maintained a relatively prudent macroeconomic stance guided by principles of fiscal responsibility as outlined in the Ministry of Finance and Economic Management Act 1995-96. In its role, the government will maintain macroeconomic stability as an essential prerequisite for sustained growth. Macroeconomic policies will be geared towards maintaining fiscal discipline, whilst at the same time promoting investments that will support sustained economic development. In doing so, government will ensure that it limits the diversion of resources away from the private sector through its tax policy, controls expansion in the size of the public sector while also maintaining affordability, and keeping national debt within a sustainable level. Government has established fiscal responsibility ratios to quantify its performance in managing the macroeconomic environment and will closely align its decisions towards upholding these ratios. 22
8. Ensure Proactive Economic Development Policies that are Underpinned by Environmental Sustainability Principles The public and the business sector have indicated that government should take a more proactive role in creating the environment that will stimulate business and enterprise. It is acknowledged that a comprehensive regulatory reform agenda, aimed at building a seamless national economy encouraging competition, promoting opportunities and creating positive impacts on productivity is required. This shall be pursued through a continuous programme that ensures policy consistency and maintains regulatory certainty and clarity. Areas such as labour relations, foreign investment, intellectual property, competition, immigration and trade have been identified as priorities for policy and regulatory reform. The regulatory framework must be aligned with changes in the global regulatory tools, agreements, processes and approaches, including new best practices and standards. Complimenting regulatory reform will be the streamlining and simplifying of licensing. Whilst the Cook Islands hope to attract foreign investment that will be beneficial to the country this will be achieved by maintaining a balance with appropriate protection for domestic players. Empowering our small scale entrepreneurs and micro enterprises is fundamental for economic development and for sustaining families. Therefore, the provision of business support, including access to financial resources and services, capacity development in business management, vocational training and bridging the skills gap through human capital development, will be targeted. As part of its efforts in promoting local business, government will re-engineer its role in the economy to one which supports rather than competes with the private sector by outsourcing functions which could be better performed by the private sector and entering into public private partnerships where efficiency and service satisfaction gains can be made. Alongside the creation of an environment that stimulates private sector growth, government will develop policies to introduce incentives to minimise impacts on the natural environment. Incentives will ensure that businesses that meet environmental standards are rewarded and those businesses that pollute and degrade pay the cost of their actions. The potential to grow our economy is dependent on our people’s productivity. Government will pass the necessary regulatory and legislative frameworks to protect the rights of both our employees and employers, including the promotion of gender equality in the workplace and the rights of persons with disabilities, to participate in the economy. HOW WILL WE MEASURE OUR SUCCESS? 1. Real GDP growth averages 2.5 % per annum 23
2. Private sector employment growth averages 2.5% per annum 3. Growth in total visitor numbers over 120,000 4. Growth in contribution to the economy as a % growth of GDP from our tourism industry 5. Growth in contribution to the economy as a % growth of GDP from our marine resources 6. Growth in contribution to the economy as a % growth of GDP from our agricultural production 7. Growth in contribution to the economy as a % growth of GDP from our Offshore Financial Industry 8. Government tax revenue to GDP maintained within 25% over the medium term 9. Personnel to total revenue is reduced and maintained within 40% over the medium term 10. A National Trade Policy will be adopted and trade agreements entered into where they offer opportunities and benefits to the Cook Islands PRIORITY AREA 2: INFRASTRUCTURE Infrastructure is central to improving livelihood opportunities and delivering critical goods and services. Therefore, with ecological sustainability, provides the foundation for economic and social development. Our efforts will be geared towards increasing the productivity of environmentally sound infrastructure as an important step towards sustaining overall economic growth, improving livelihoods and building the resilience of our communities to disasters and climate change impacts. OUR GOAL INFRASTRUCTURE FOR ECONOMIC GROWTH, SUSTAINBLE LIVELIHOODS AND RESILIENCE ‘OUR INVESTMENT IN INFRASTRUCTURE WILL MAXIMISE ECONOMIC RETURN, IMPROVE LIVELIHOODS AND BUILD RESILIENCE’ OUR KEY OBJECTIVES 1. Our investment in infrastructure will foster economic growth, sustainable environment and livelihoods and increased resilience for our communities to disasters and the impacts of climate change. 2. Our delivery and ongoing environmentally sound management and maintenance of infrastructure will be improved significantly. HOW WILL WE ACHIEVE OUR OBJECTIVES? To achieve our objectives we will embark on strategies that: 1. Improve Access to and Quality of Water to our Communities To improve the access to water for our communities, our efforts will include the rehabilitation of water intakes, upgrade water galleries, advance work on our ringmain and distribution lines, increase water harvesting and storage. Furthermore we will 24
promote and implement the most viable options to ensure the safety and improved quality of our water supply. These efforts will complement those identified under our ecological sustainability goal to further implement our integrated approach to water resource management and also to ensure water security as articulated in our goal to build resilience to disaster and climate change impacts. We anticipate that cost recovery for the delivery of water resources will be implemented in 2011-2015. 2. Improve our Facilities for Waste Management To complement our strategy for ecological sustainability through improved waste management, we will transform the way we use our waste facilities in Rarotonga and Aitutaki to Resource and Recovery Centres where waste is transformed so that it may be reused – for example, crushing glass to use for construction. Additionally, we will implement the National Waste Strategy utilising the best options to address waste management in the remaining islands. Fundamental to our approach to transform the management of waste will be the use of public private partnerships. 3. Improve our Transport Infrastructure Our work on improving our roads will be done in conjunction with the improvements of our water, energy and telecommunication distribution networks. We will establish public private partnerships in road management and take into consideration road safety and the impact of disasters and climate change in all engineering specifications. We will continue to improve our airports in our Pa Enua to complement our economic development efforts beginning in 2011-2015 with improvements to Aitutaki, Atiu, Manihiki and Mangaia airstrips and terminals. We will also continue upgrading our ports in our Pa Enua completing development in Mauke and Mitiaro in 2011-2012 and rolling out the upgrade of Manihiki, Rakahanga and Aitutaki ports in 2012-2015. Efforts in Aitutaki will be focused on widening the harbour, developing a marina and upgrading the island centre. Improvements to our airports and ports will include disaster risk reduction and climate change adaptation measures. Transportation to the Pa Enua is a challenge and can hinder the planned development initiatives in those islands. Therefore, efforts will be made to ensure improvements to transportation to, from and between the Pa Enua, Rarotonga and other markets. These efforts will focus on cooperation between Government and the private sector to improve transportation efficiency and connectivity to the Pa Enua and with the economy. Incentives will be introduced to encourage shipping that adopts green transportation technology. 4. Improve Telecommunications 25
Telecommunications can increase the efficiency of the economy; facilitate commercial and administrative activities; improve effectiveness of social and emergency services; and distribute the social, cultural and economic benefits of the development process more equitably throughout the country. Furthermore, telecommunications is also a prerequisite for participation in an increasingly competitive global economy and for attracting new investment. In 2013 we will be connecting to the O3B Network of medium Earth orbit satellite constellation. It is anticipated that this will significantly increase the speed and quality of our telecommunication services. We will commit to strengthening our telecommunications regulatory framework and develop and implement policies and regulations that will result in improved telecommunications infrastructure and services. Changes to our telecommunications regulatory framework will be complimented by the most appropriate institutional arrangements to monitor telecommunications development and compliance, carry out regulatory responsibilities, drive policy development, and identify areas for capacity building to improve efficiencies in other productive sectors. 5. Strengthen our Asset Management We will strengthen the management of our public assets. As a matter of priority we will develop and implement asset management planning frameworks in 2011-2015. 6. Enable Robust Construction As a matter of priority we will review the Building and Standards Act and its associated regulations in 2011-2012 to ensure that these reflect our development aspirations by including standards and compliance to water harvesting, sanitation, energy efficiency, environmental assessments, extreme events benchmarks and climate change adaptation measures. We will strengthen our capacity in Geographical Information Systems and satellite imagery to better inform our development and land use planning. 7. Build Capacity in the Infrastructure Sector Building capacity is crucial for improving delivery of infrastructure development. Local capacity will be fostered by providing access to up-to-date technical skills to our people through vocational education and training, and developing community and private sector organisations capable of planning, implementing and overseeing infrastructure development. With the support of our development partners, we will jointly select and manage technical cooperation and promote the provision of technical cooperation by local and regional sources, including South-South cooperation. Special attention will be paid to build the capacity of our people in the priority areas of water, sanitation and renewable energy. HOW WE WILL MEASURE OUR SUCCESS? 1. Percentage of households having access to water is increased 2. All 12 water intakes will be rehabilitated 26
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